Ms Bing Limjoco, PFA Vice Chair and Ms Rebecca Bucad, PFA Director at the opening of the World Franchise Council Meeting in Sao Paolo, Brazil

MOU Signed to Promote Philippine-Korean Franchise Cooperation

Written by: Ivy

Thu, 10 Jul 2014 20:13

The Philippine Franchise Association (PFA) and the Korea Franchise Association (KFA) recently signed a memorandum of understanding (MOU) to deepen the cooperation between both associations for the mutual benefit of their respective franchise sectors. A salient point of the MOU was the promotion of the both sectors’ respective franchise brands wishing to expand in each other’s countries. The MOU was signed by Ms. Elizabeth Pardo-Orbeta, PFA Chairman (right) and Mr. Cho Dong Min KFA Chairman (left). The MOU signing was part of the activities of the Korean International Franchise Roadshow recently held at the Shangri-la Makati, where a number of Korean franchise brands – all of them KFA members – presented their respective franchise packages to prospective Philippine master franchisees. Both PFA and KFA are members of the World Franchise Council (WFC), which is the umbrella organization of national franchise associations in the world.

Potato Corner

Written by: Ivy

Thu, 10 Jul 2014 20:15

Jollibee reports 25% increase in income

Written by: Ivy

Thu, 10 Jul 2014 19:47

Jollibee Foods Corp. (JFC) reported a consolidated net income of P4.674 billion, representing an increase of 25.3 percent compared with the 2012 level. The fast-food company said this is the fastest growth rate it has achieved in seven years.

JFCs net income margin increased from 5.2 percent of revenues in 2012 to 5.8 percent in 2013, driven by improvements in store operating expense efficiency. Earnings per share grew by 24.4 percent to P4.45. Return on equity rose from 18.3 percent in 2012 to 21.5 percent in 2013, the highest in 15 years.

System-wide sales, both from company-owned and franchised stores rose by 12.8 percent in 2013, the highest organic sales growth in six years, enabling JFC to breach the P100 billion system-wide sales mark for the first time.

The JFC board also approved the declaration of a regular cash dividend amount to P0.75 per share to be paid on May 30. This is 15.4 percent higher than the regular cash dividend pain in the same period last year.

JFC said it plans to accelerate expansion of its tore network worldwide. It plans to make its largest annual capital investment this year. In its earning release in February, the company announced it had allotted P6.3 billion for capital expenditures for 2014 for investments in new stores and for the renovations and upgrade of existing store in the Philippines and overseas.

plants in the country and in China, as well as invest heavily in the upgrade of its information systems.

Jollibee operates the largest food-service company in the Philippines. As of end- December, it was operating 2,181 restaurant outlets in the country. It also has a 50-percent interest in joint ventures for the following stores: Highlands Coffee (in Vietnam, the Philippines) with 84 restaurants; Pho 24 (in Vietnam, Indonesia, the Philippines, Hong Kong, Macau and Cambodia) 70, and 12 Sabu (China) with eight stores.